Shein and Forever 21 have teamed up for a fast-fashion empire aimed at younger shoppers.
The companies announced their joint venture last Thursday. CNBC broke down this new deal, confirming that Shein will gain a third of Forever 21’s parent company, Sparc Group, with Sparc acquiring a minority stake in the Singapore-based e-commerce giant.
Another notable change customers will soon see is the presence of Shein clothing inside Forever 21 stores. If you’ve been in a Forever 21 location recently, you likely noticed chrome and shimmer pieces littered throughout the store that coincide with the Renaissance World Tour. It didn’t take long for the store to hop on the Bey bandwagon, and moving forward, the collaboration with Shein will jump on these types of fads even quicker.
“By working together, we will provide even more innovative and trendsetting products to fashion enthusiasts around the world,” Sparc’s CEO Marc Miller stated.
While a genius move, the timing could not be worse as Shein continues to face RICO violations. In a lawsuit filed in July by three designers, the plaintiffs accuse the company of selling their copyrighted designs on its website. Additionally, Shein has been accused of using forced labor to continue producing merchandise at a high rate.
The US Congress intervened in May, asking the company for proof that they were not mistreating workers in the Xinjiang Uyghur Autonomous Region of China. Aside from these issues, Forever 21 and Shein are among other fast fashion brands blamed for harming the environment with wasteful practices.
Despite the backlash, the collaboration is pushing forward and should be reflected in stores in the upcoming months.
